Employee Compensation Checklist

This checklist provides the requirements of an employee compensation system. This checklist can be used by program directors and human resource managers for ensuring that employees receive the appropriate compensation.

Compensation includes:

Salaries

Wages

Incentive awards

Fringe benefits

Pension plan costs

Incentive pay

Comparability of Wages

Pay at least minimum wage

Base salary scales on training and experience

Wages cannot be higher than those paid to individuals in area or in the area where previously employed, whichever is higher

Based on up-to-date or updated survey

Data primarily reflect service area or similar area

Data from primarily non-profit/public human service organizations

Considers agency type, scope, size, budget, qualifications

Cost of Living Allowances (COLA)

Distribute as required

Retroactive increases (if a raise in year was equal to or greater than COLA, no retroactive required)

No COLA if it would increase salary above prevailing wage in service area

Payment to separated employees (grantee written personnel policy)

Fringe Benefits

Leave

Leave policies, in general

Policy on carryover from year to year

Funding accrued leave

Incentive pay and awards

Reasonable

Paid pursuant to an agreement prior to services rendered

Pursuant to an established plan followed so consistently as to imply an agreement to make such payments